Hi, Reithm01. To the extent that you are paying Dutch income taxes on the same income that is being taxed on your US tax return, you may be eligible to claim the Foreign Tax Credit, which would be reported on Form 1116 of your tax return.
You referenced Form 2555, which is the Foreign Earned Income form. You would use Form 2555 if you are a U.S. citizen living in a foreign country and have foreign earned income (and meet certain other rules). The Form 2555 does NOT apply in your situation, as pension/social security is not considered earned income, and as you are not not living abroad.
So, although you would not exclude the income with the use of Form 2555, you do want to take the Foreign Tax Credit, using Form 1116. The Foreign Tax Credit gives you a credit against your U.S. taxes for all or part of the foreign taxes you pay on income taxed by both countries.
I hope that answers and clarifies your follow up question!
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
